CORE and MMT: Data Pipelines and Cross Border Messaging
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1 CORE and MMT: Data Pipelines and Cross Border Messaging David Hesketh, Customs Research and Development United Kingdom UN/CEFACT Transport and logistics Domain Group 23 rd April 2015 Geneva
2 Consistently Optimised Resilient Secure Global Supply-Chains 2
3 What is CORE? European Union funded supply chain security and visibility research and delivery of innovative solutions. Over 70 Consortium Partners from public and private sector. CORE will start by consolidating solutions developed in previous EU research projects such as ITAIDE, Integrity, SmartCM and Cassandra. Move to implementation driven operational research and development to discover gaps and practical problems. Ultimately develop capabilities and solutions that could deliver sizable and sustainable progress in supply chain security across all EU Member States and on a global scale.
4 CORE will demonstrate: Secure supply chains whilst maintaining or improving business performance; A sustainable, secure Global Supply Chain Network as a catalyst to bring about institutional and business change and technical solutions; Supply Chain compliance and trade facilitation requirements of business communities, specifically shippers, forwarders, terminal operators, carriers and financial stakeholders; How customs, law enforcement authorities and other national and international agencies can increase effectiveness of security and trade compliance with decreased administrative burden.
5 Consistently Optimised Resilient Secure Global Supply-Chains Work Package 10: UK supply chain visibility through Port of Felixstowe using the Destin8 Port Community System
6 Work Package 10: Objectives UK and Felixstowe Centric Improve supply chain visibility for shippers, buyers and sellers, border agencies and logistics service providers; Improve security and risk management for public and private sector supply chain actors; Improve the quality of data and supply chain management; Facilitate the identification of costs and efficiencies; Improve the use of automated systems; Improve co-ordinated border management; and Participating exporter to send data to the exporting and importing Customs administration through the data pipeline when the container has finished loading, doors closed, seal on, ready to ship.
7 1972
8 ,000 TEU (average 9 tonnes) 48 hours 1,312 feet Deadweight 165,000 tonnes 5,000 tonnes 5 days 507 feet Deadweight 5,000 tonnes
9 The need for innovation 9 Data inaccuracy in the UK costs as much as 1.4 billion per year 1 per cent of total revenue. (Cranfield) 15% of consignments received in the UK are in error. 60% import sea cargo manifests not fit for risk assessment purposes. Global maritime fraud = US$31 billion. Letter of credit and bills of lading = $20 billion. Over 90% of surveyed companies indicated that Supply Chain Visibility was currently a high or medium priority. Supply chains are complex - visibility is masked. Safety, security, legal compliance and commercial risks.
10 Current Customs and International Trade Systems 3 rd Country Regulation Contract of Sale, Invoice and Payment EU Regulation Post Export Assurance by Customs Risk Assessment for admissibility and compliance Customs Export declaration (with overvalued invoices for recovery of tax) Import Control System safety and security summary declaration from Carrier Risk Assessment for admissibility and compliance Import Summary Declaration (manifest data) Customs Declaration for Home Use or Regimes (undervalued for duty purposes) Fiscal and Statistics Collection Post Clearance Assurance by Customs Consignor or Exporter Freight Forwarder or 3PL Bill of Lading Container/Carrier Manifest Freight Forwarder or 3PL Consignee or Importer CARGO Port 1 Port 2 CARGO CARGO Country A Handling Fees Packing List Insurance Contracts of Carriage Country B Letter of Credit Shipping Note Carriers Receipts House Way Bill Vessel Booking Freight Account
11 Data relating to carriage Data relating to the goods and the people CORE Seamless Integrated Data Pipeline Concept Post Export Assurance by Customs 3 rd Country Regulation EU Regulation Post Clearance Assurance by Customs Seamless Integrated Data Pipeline Contract of Sale, Invoice and Payment Freight Forwarder or 3PL Carrier Freight Forwarder or 3PL Consignor or Exporter Manifest Consignee or Importer CARGO Port 1 Port 2 CARGO CARGO GPS position and trader ID GPS position and trader ID GPS position and trader ID GPS position and trader ID Country A Handling Fees Packing List GPS position and trader ID Insurance Contracts of Carriage Country B Letter of Credit Shipping Note Carriers Receipts House Way Bill Vessel Booking Freight Account
12
13 UN/CEFACT Buy-Ship-Pay Model BUY SHIP PAY Prepare for Export Export Transport Prepare for Import Import Commercial Procedures Establish Contract Order Goods Advise On Delivery Request Payment Packing Inspection Certification Accreditation Warehousing Transport Procedures Establish Transport Contract Collect, Transport and Deliver Goods Provide Waybills, Goods Receipts Status reports etc. INVOLVES Regulatory Procedures Obtain Import/Export Licences etc Provide Customs Declarations Provide Cargo Declaration Apply Trade Security Procedures Clear Goods for Export/Import Financial Procedures Provide Credit Rating Provide Insurance Provide Finance Execute Payment Issue Statements Source: The UN/CEFACT International Supply Chain Reference Model
14 Total data items from Annex 37 and Annex 30A and Manifest = 87 Exporter or Agent 41 Import S&S 31 Carrier B/L 33 Contract 18 Purchase Order 30 CCP 36 Forwarding 54 Importer or Agent 42 Forwarding and Logistics Air/Port of Export Air/Port of Import Forwarding and Logistics Factory, Seller, Shipper Seller, FCL, Consignor Consolidator, LCL, Consignor Export/ shipper or Agent Carrier Importer or Agent Deconsolidator or Consignee Buyer Outlet Plan -84 Sample -42 PO -21 QC -10 and Pack -8 Move and Book -7 Contract of Carriage -1 to +3 Ship 0 Arrive +26 Move +27 QC +28 DC +29 Sell +30 Customs and Border -1 Customs and Border + 26
15 Capture purchase order and (compare with) consignment/packing list/container manifest at the consignment completion point first suitable point driven by buyer for assurance and compliance 15 Seller/consignor and pipeline data provides assurance to buyer/consignee that their order has been met and is in transit Capture Annex 30A and Annex 37 data 87 pieces of data UN/CEFACT Core Components, Business Requirements and BSP 110 pieces of data (new UN international standard) Apply data model to pipelines and capture data in new standard format add to export dec, PAPD, arrival message and import dec (for now) Four data sending points consignment completion, 2 days after sailing, 1 day before arrival (with transit ports), unstuffing Send to Destin8 then on to BF, HO, Port Health and possibly CRP
16 Data pipeline fit with WCO and UN/CEFACT Buy-Ship- Pay Export Customs SHIP Import Customs Export Data Import Data Import Data Manifest Data PAPD Data Manifest Data Pipeline Seller, Consignor or Exporter Data Carrier Structure Freight Forwarder or 3PL Air/Port of export BUY Carrier Bank and Insurance (Pay) Contract of Sale (Buy) Air/Port of import PAY Freight Forwarder or 3PL Buyer, Consignee or Importer Pipeline
17 Consignment Completion Point Risk Risk Risk Risk ICS Data Border Force AFTC Home Office DAC Port Health, Defra, FSA CHIEF Replace Consignor Data Destin8 UK Imports D8 Arrival Message Importer Data Risk Australia Customs Consignor Data Consignment Completion Point UK Exports
18 CORE WP10 Next Steps: February to April 2015 CORE Pipeline XML message based on the UN/CEFACT Core- Component Library, WCO Data Model and UCC Data Model; Message Implementation Guide: Data element name, Semantic definition, Data element format (/representation), GOVCBR Mapping ID (which will be the link to the WCO Data Model), Waypoint references; In progress Mapping of internal pipelines against the XML/UML; Maritime Cargo Processing will check if the XML provided can be received and ensure Customs, Port Health and Border Force can receive and use data. In progress Warrant group will create an on-line website where information can be shared and discussions can be generated; 23 Pilot XML Data Files sent from data pipelines to Port Community System waiting to send to Customs and Border Force.
19 CORE and MMT: Data Pipelines and Cross Border Messaging David Hesketh, Customs Research and Development United Kingdom UN/CEFACT Transport and logistics Domain Group 23 rd April 2015 Geneva
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